Can I claim the payment of property tax of my second home that I sold last year as a selling expense or fee?

[tuanngnttax]

I sold my second home last year and I had to pay around $2000 for the property tax at that time.  Can I claim this amount as a selling fee or selling expense?

[tuanngnttax]

Can I deduct this $2000 property tax payment from the Gross Proceed of 1099-S form as a selling fee or expense?  It doesn't make sense if I can't deduct this amount.

[JamesG1]

Real estate or property taxes reported as paid on the 1099-S  may be deducted on Schedule A Itemized Deductions.  

Report on Schedule A (Form 1040), Itemized Deductions, any itemized real estate deduction.

Follow the Instructions for Schedule A when completing the form.

Make sure that you are not double-counting property taxes paid should you find property tax payment on another record.

[tuanngnttax]

The property tax that I paid was not shown in the tax form 1099-S. Can I still claim it? I did pay it and it was shown in the settlement documents. The form 1099-S only showed the gross proceeds amount and no amount for property tax. 

[Vanessa A]

Yes, as long as you were liable for the taxes that you paid, and actually paid them, then you can claim them as an itemized deduction even if it is not reported on the 1099-S.  A property tax bill and proof of payment is all you would need as proof that you paid them and owed them. 

[tuanngnttax]

Oh I forgot to mention this. Since this is my second home (not my main home) that I sold, I can only file it under Investment section based on the Home & Business TurboTax software. When I file this under the Investment section, the software also give me an opportunity to claim anything as selling fee or expenses that I have spent for selling this house and I believe the software will deduct it from the gross proceeds and will show it in the form E or something. Can I include the $2000 (property tax) into this box? 

[RobertB4444]

Yes, if you paid the property taxes as part of the closing costs.  Otherwise you should enter the property taxes as a rental home tax expense.

@tuanngnttax

[tuanngnttax]

Yes, I paid the property taxes as part of the closing costs; so if I claim it as part of the closing costs, I shouldn't claim it in the Property Taxes under the Deductions & Credits section, is this correct?

[ThomasM125]

If you had the house rented, then you should deduct the property taxes as a rental expense. Otherwise, it is an itemized deduction, assuming you used the house for personal purposes. The only time you would tie the property tax to the sale of the house would be if you purchased the house solely as an investment, and as such had no personal use of the property.